updated 06:30 am EDT, Fri October 4, 2013

Possible cut, elimination of license fee could make Windows Phone more attractive

Microsoft is still seeking to expand the reach of its Windows Phone operating system, at the possible expense of Android. A report claims that Microsoft asked HTC to add Windows Phone to its smartphones as an alternative mobile OS choice, giving users the ability to select which software they want to use on their device.

Head of Microsoft's operating systems unit Terry Myerson spoke to HTC in private last month, writesBloomberg, with sources stating that the possible cutting or outright elimination of the software's license fee was under discussion. The talks are said to be preliminary with no decision made by either party as of yet.

The possible removal or reduction of the license fee for Windows Phone installs on a device will bring it in line with Android, and effectively removes the majority of financial barriers in putting it onto devices. Even though Windows Phone is gaining in popularity in some areas, such as in Europe, Microsoft's acquisition of Nokia's mobile phone business may scare other mobile phone producers away from Windows Phone, though it is unclear how effective lowering the cost of the software will be.

Lower Windows Phone licensing could considerably benefit HTC. While it has previous experience with Windows Phone, in the form of the Windows Phone 8X and Windows Phone 8S, giving customers the option of both Android and Windows Phone could give it an edge in a highly competitive market, and in turn navigate away from its current financial trend.